Good market position and long track record in the Guatemalan banking industry Asset-liability management supported by its large and well-diversified deposit base and by long-term funding sources Adequate profitability levels Adequate asset quality strengthened by increased reserve coverage Capitalization is low and vulnerable to devaluation of local currency High concentration related to its commercial orientation and small size of the Guatemalan economy Challenging economic environment, with strong competition and new participants Potential credit and market risks arising from high proportion of dollar-denominated loans Standard&Poor's Ratings Services' ratings on Banco G&T Continental (G&T), based in Guatemala, reflect a low capitalization level and double leverage at the holding company. Low capitalization levels are an important concern because the bank also
